PUTRAJAYA, Tuesday [15 January 2008]: Home financing for Malaysians with variable income is expected to accelerate with the signing of the guarantee agreements between Syarikat Jaminan Kredit Perumahan Bhd (SJKP) and Bank Islam Malaysia Berhad (Bank Islam) and Bank Simpanan Nasional (BSN).
Under the agreements signed today, SJKP, a wholly-owned subsidiary of the Ministry of Finance will guarantee the loans disbursed by Bank Islam and BSN under its RM50 million Skim Pembiayaan Perumahan Rakyat for those with variable incomes.
This scheme is part of the Government’s Budget 2008 strategy to ensure the well being of all Malaysians. It is targeted at the self-employed, particularly those in agriculture and fishing sectors, who has the ability to service the loans but unable to provide proof of income streams.
With the conclusion of the agreements, the Scheme was officially launched by the Minister of Finance II Y.Bhg. Tan Sri Nor Mohamed Yakcop. Although the scheme was officially launched today, Bank Islam and BSN had begun marketing this product since the beginning of this year. A network of 375 BSN’s and 90 Bank Islam’s branches will ensure the scheme is within easy reach of Malaysians who are eligible.
Given that the targeted borrowers of this scheme are those with monthly household incomes of RM1,500.00, the loans are structured to offer flexible repayment terms, with a payback period of up to 40 years or up to age 65, whichever is earlier. In the case of joint borrowers, the maximum age will be based on the younger applicant.
The financing rate will be Base Financing Rate + 0%, with financing amounts set at a minimum of RM25,000 and a maximum of RM60,000, for completed residential property or those under construction.
For further details, members of the public can visit any branch of Bank Islam and BSN or visit the websites at www.bankislam.com.my and www.bsn.com.my respectively.